The CAM Indicator For Trends And Countertrends by Barbara Star, PhD
Prices are always moving—up, sideways, down; they pull back, and change direction. What are some hints that conditions are changing? Here’s a look at how you can use patterns that appear in indicators and add an indicator to help identify the changing conditions of stock prices.
Technical analysis relies heavily on pattern recognition based on price structure alone or on price in relation to one or more indicators. Patterns identify breakouts, trends, consolidations, continuations, or reversals. Several years ago I noticed indicators also create patterns that, when paired with another indicator, can help traders recognize many of the changing conditions displayed by stock prices ...